Reflecting on the first half of 2023, South Korea’s virtual asset market has recorded a significantly buoyant performance, hitting a total market cap of $21.1 billion, according to the country’s Financial Services Commission (FSC). This represents a remarkable 46% increase when juxtaposed with the preceding half-year phase. A parallel trend appears to be fanning out globally, with the worldwide crypto market cap escalating by 53% to land at a dizzying 154 trillion won, spearheaded by Bitcoin prices escalating by 81%, heralding an attractive price tag of $30,441 as of June.
Turning the gaze to South Korea’s virtual marketplace operators, they experienced an enviable 82% jump in operational profits, hitting the $168 million mark in the first half of the year. The undercurrent driving this upswing, it seems, is the 11% surge in deposits at these crypto exchanges, amounting to nearly $3 billion. However, on the flip side, the average daily transaction value plunged slightly by 1.3% to $2.1 billion. Moreover, there has been a slight shrinkage in the number of individual and corporate crypto traders by 210,000, making the total number 6.06 million. A lion’s share of these individual traders appears to comprise of those in their 30s, with over 67% holding virtual assets valued less than 500,000 won.
South Korea has seen the trading of a vast array of 622 cryptocurrencies, including market stalwarts like Bitcoin, Ethereum, Ripple, and Dogecoin. Despite the overall growth in the crypto market, 115 coins had trading suspensions due to concerns like project risk and investor protection.
A wave of cautious optimism is sweeping over as South Korea is slated to pass a new law to safeguard crypto investors in July next year. With stringent punitive measures in place for non-compliance, the legislation promises to bring increased transparency and security to the crypto trading landscape dominated by issues such as undisclosed information, market price manipulation, and illegitimate transactions. As the South Korean crypto market continues to flourish, this legal move undeniably underscores the growing recognition and legitimization of cryptocurrencies in financial repositories. This pending legislation, despite its strict stance, ultimately spells the boom for South Korean crypto enthusiasts.
Source: Cryptonews
